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To: blueplum
Renters usually don't pay for county utilities (street lights, sewage, infrastructure taxes) or garbage (now about $55/can), or special assessment taxes (fire tax - yes we have that now) or for upkeep like carpet, interior/exterior paint, or reroofing or normal repairs like clogged toilets (which a landlord is -Required- to have a 'professional' fix)

If your landlord doesn't figure those costs into the rent you are getting over. Most do!

62 posted on 04/30/2017 7:07:36 PM PDT by gr8eman (Facts and evidence are bourgeois constructs weaponized by patriarchal penis-people)
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To: gr8eman

I’m an owner and former landlord. Owners of rental housing have to be competitive in their market just like any other business except they can’t relocate. Rents can go up $25 or $50 a year, but each neighborhood has it’s own ceiling - especially blue collar neighborhoods. Raise rent too much and it will sit vacant as vandal bait.

Yes, I can get some expenses back when I sell it IF I need capital gains deductions, but it’s still a cash expense up front for a lot of stuff. Equity gain doesn’t cover loss over the first 10 years of a mortgage, because all you’re paying is interest, with a few dollars thrown towards equity so you don’t feel bad. Renting a home that is paid off does give some profit, but again, you’re limited by the home’s age and neighborhood as to what your profit really is, and then there’s the taxes again. If your carrying costs are $500/mo in a neighborhood where the rent is $650 or $700, even if the house is paid off, you’re not making any profit. The only advantage I’ve found to renting a house out is enhanced credit rating.


68 posted on 04/30/2017 11:13:19 PM PDT by blueplum ("...this moment is your moment: it belongs to you " President Donald J. Trump, Jan 20, 2017)
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